Financial services are facing increasing scrutiny amid a growing number of incidents of fraud involving money transfers and financial institutions.
The Australian Securities and Investments Commission has launched an investigation into alleged breaches of the Australian Securities Exchange Act, including claims that the bank breached the law by making inaccurate representations about a person’s financial situation.
The bank also admitted making false statements about the amount of deposits it held in its account.
A spokeswoman for the regulator said it was concerned about breaches of a “tough-on-fraud” policy.
“We’ve seen a steady increase in the number of allegations of money laundering and related fraud,” she said.
“As we’ve made clear, this is not a new or isolated phenomenon. “
“This is not about the bank being too good at what it does. “
This is about what is appropriate, effective and responsible for a company to do.” “
This is not about the bank being too good at what it does.
This is about what is appropriate, effective and responsible for a company to do.”
Ms Dimmock said she was concerned the investigation was not looking at a wider range of issues.
“The fact that there are a number of breaches that have not been resolved and are ongoing and that there is no way to determine whether or not those breaches are being addressed is very concerning,” she told the ABC.
She said she wanted to hear from the regulator about the impact on the financial system. “
Is it really just about money laundering, or is it about compliance with the Australian Financial Services Act?”
She said she wanted to hear from the regulator about the impact on the financial system.
“What impact will this have on the business and on the consumers?”
She also wants to know how the regulator would identify a bank that is “too good at doing what it’s doing”.
The regulator will also be seeking the advice of the ACCC about whether the bank could be prosecuted under the Australian Corporations Act, which criminalises unfair business practices.